MYECO GROUP LTD — Director's Dealing 2011

Jul 14, 2011

15 July 2011

Simon O’Brien

Senior Adviser, Listings (Brisbane) Level 5 Riverside Centre 123 Eagle Street Brisbane QLD 4000

Via Email: simon.obrien @asx.com.au

Dear Simon,

Appendices 3Y Change of Director’s Interest Notices

I refer to your letter dated 14[th] July 2011 in relation to the late lodgement of Appendices 3Y, the company responds as follows:

Q.1 Please explain why the Appendices 3Y were lodged late

The Company takes it obligations to fully comply with all ASX Listing Rules seriously and the Directors are aware of their obligations to inform the Company Secretary about their dealing in the securities of the Company to enable the Company to meet its ASX Listing Rules obligations in a timely manner.

The Appendices 3Y which were lodged late on 12 July 2011 relate to the lapsing of Cardia Options not exercised by the Directors by the expiry date of 30[th] June 2011. The reason for these late lodgments was due to an administrative error.

Q. 2 What arrangements does the Company have in place with its directors to ensure that it is able to meet its disclosure obligations under listing rule 3.19A?

The Company has adopted a Securities Trading Policy and the Directors are aware of their obligations to inform the Company Secretary about their dealings in the securities of the Company to enable the Company to meet its ASX Listing Rules obligations in a timely manner.

Q.3 If the current arrangements are inadequate or not being enforced, what additional steps does the Company intend to take to ensure compliance with listing rule 3.19B?

The Company believes that current arrangements are adequate and complied with

==> picture [593 x 63] intentionally omitted <==

but to further ensure this the Chairman has instructed the Company Secretary to ensure that he and each of the Directors are reminded of and fully understand their disclosure obligations under the ASX Listing Rules.

Yours Sincerely,

==> picture [68 x 52] intentionally omitted <==

Rekha Bhambhani Company Secretary

==> picture [49 x 80] intentionally omitted <==

14 July 2011

Ms Rekha Bhambani Company Secretary Cardia Bioplastics Limited Unit 18, 35 Dunlop Road MULGRAVE VIC 3170

ASX Compliance Pty Limited ABN 26 087 780 489 Level 5 Riverside Centre 123 Eagle Street Brisbane QLD 4000

PO Box 7055 Riverside Centre Brisbane QLD 4001

By email: rekha@cardia.com.au

Telephone +61 7 3835 4000 Facsimile +61 7 3832 4114 Internet http://www.asx.com.au

Dear Ms Bhambani

Cardia Bioplastics Limited (the “Company”) Appendices 3Y Change of Director’s Interest Notices

I refer to the following:

1. The Appendices 3Y lodged by the Company with ASX on Tuesday, 12 July 2011 for Frank Glatz, Chen Yi, John Scheirs and Pat Volpe (the “Appendices 3Y”).

2. Listing rule 3.19A which requires an entity to tell ASX the following:

   • 3.19A.1 The notifiable interests of a director of the entity (or in the case of a trust, a director of the responsible entity of the trust) at the following times.

     • On the date that the entity is admitted to the official list.

     • On the date that a director is appointed.

     • The entity must complete Appendix 3X and give it to ASX no more than 5 business days after the entity’s admission or a director’s appointment.

   • 3.19A.2 A change to a notifiable interest of a director of the entity (or in the case of a trust, a director of the responsible entity of the trust). The entity must complete Appendix 3Y and give it to ASX no more than 5 business days after the change occurs.

   • 3.19A.3 The notifiable interests of a director of the entity (or in the case of a trust, a director of the responsible entity of the trust) at the date that the director ceases to be a director. The entity must complete Appendix 3Z and give it to ASX no more than 5 business days after the director ceases to be a director.

==> picture [596 x 60] intentionally omitted <==

CNN2011.07.14l-sjo

1. Listing rule 3.19B which states as follows.

An entity must make such arrangements as are necessary with a director of the entity (or in the case of a trust, a director of the responsible entity of the trust) to ensure that the director discloses to the entity all the information required by the entity to give ASX completed Appendices 3X, 3Y and 3Z within the time period allowed by listing rule 3.19.A. The entity must enforce the arrangements with the director.

1. The Companies Update dated 27 June 2008, reminding listed entities of their obligation to notify ASX within 5 business days of the notifiable interests in securities held by each director and outlining the action that ASX would take in relation to breaches of listings rules 3.19A and 3.19B.

The Appendices 3Y indicates that the change in interests occurred on Thursday, 30 June 2011. It appears that the Appendices 3Y should have been lodged with ASX by Thursday, 7 July 2011. Consequently, the Company may be in breach of listing rules 3.19A and/or 3.19B.

Please note that ASX is required to record details of breaches of the listing rules by listed entities for its reporting requirements.

ASX reminds the Company of its contract with ASX to comply with the listing rules. In the circumstances, ASX considers that it is appropriate that the Company make necessary arrangements to ensure there is not a reoccurrence of a breach of the listing rules.

Having regard to listing rules 3.19A and 3.19B and Guidance Note 22: “Director Disclosure of Interests and Transactions in Securities - Obligations of Listed Entities”, we ask that you answer each of the following questions.

1. Please explain why the Appendices 3Y were lodged late.

2. What arrangements does the Company have in place with its directors to ensure that it is able to meet its disclosure obligations under listing rule 3.19A?

• 3 If the current arrangements are inadequate or not being enforced, what additional steps does the Company intend to take to ensure compliance with listing rule 3.19B?

Your response should be sent to me by email at simon.obrien@asx.com.au or by facsimile on facsimile number (07) 3832 4114. It should not be sent to the Company Announcements Office.

A response is requested as soon as possible and, in any event, not later than half an hour before the start of trading (i.e. before 9.30am Brisbane time) on Monday, 18 July 2011 .

Under listing rule 18.7A, a copy of this query and your response will be released to the market, so your response should be in a form suitable for release and should separately address each of the questions asked. If you have any queries or concerns, please contact me immediately.

Yours sincerely

[Sent electronically without signature]

Simon O’Brien Senior Adviser, Listings (Brisbane)

CNN2011.07.14l-sjo

Page 2 of 2